Case Studies

Eagle Pipe LLC

Oil country tubular goods and line pipe distribution in Houston, Texas

Houston-based Eagle Pipe LLC opened its doors in 2013 as a full-service oilfield tubulars distributor specializing in oil country tubular goods (OCTG) and line pipe. Today the business is led by founding partners, Brandon Dewan and Jared Light, CEO and COO respectively.

Dewan has worked in the industry since he graduated from college in 2005. Working first for Premier Pipe, he honed his expertise and was able to sharpen the skills and knowledge necessary before starting Eagle Pipe.

Light started his career working for Sumitomo Corporation where he was responsible for starting pipe distribution companies around the world. He also worked for Premier Pipe, prior to starting Eagle Pipe.

Eagle Pipe now serves oil and gas companies throughout the contiguous United States with OCTG, line pipe, and associated services. Major geographic markets include western and southern Texas as well as central high-production states, such as North Dakota. In addition to the main office, Eagle Pipe also maintains stocking locations in Houston, Midland and Fort Worth, Texas, as well as Oklahoma City, Oklahoma, Kimball, Nebraska, Roosevelt, Utah and Burlington, North Dakota for strategic inventory.

Standing apart in a competitive market

Oil and gas industry suppliers have seen great changes over the last decade. Turnover in ownership, growth in domestic production and access to better products and materials have all contributed to competition in the industry. “Things have come a long way,” says Dewan. “In order to stay ahead, we have built our company based on strategic partnerships with the new, highly efficient, low-cost, technologically advanced mills that are the future of our industry, such as Borusan Mannesmann. In regards to our customers, our top priority is customer service. In addition, we also integrate efficient supply strategies, competitive pricing and manage costs.”

Keeping efficiencies in check has proven a major benefit for the Eagle Pipe team. Lean operation allows the business to maintain its competitive edge. Eagle Pipe’s supply strategy allows its customers to take advantage of improving technology and provide materials that oil companies need to maintain production and feed the American demand for fuel.

“It has been really incredible the way the industry has moved since we started,” says Dewan. “It’s amazing the way the wells are drilled, for example: drilling horizontal wells down 10,000 feet, then drilling out 8,000 feet. They can frack in 30-plus stages. The technology has been developed, just in recent years, to push the envelope with these new type of wells which ultimately allows for enhanced recovery of oil and gas. In regards to pipe, we have seen much new technology enter the market in recent years, especially in connections. We are able to provide these connections and threads to our customers which allow for higher torque and performance properties while maintaining advantageous pricing.”

This rapid growth and change makes it all the more important for Eagle Pipe to maintain solid relationships with suppliers. At the same time, Dewan and his colleagues keep looking for new products and methods that will comprise a growing portion of demand. “We are focusing on the future,” he says. “We have partnered up with some new manufactures and they are very highly efficient. While we maintain relationships with many of our long-term suppliers who have been in the industry for decades, we are also making new connections with some of the younger companies in the supply chain.”

Oil futures

The oil and gas industry has proven to be one of America’s strongest industries. Because Eagle Pipe’s market is based on the number of operating rigs within its service area, the company is continuously busy as exploration reveals new territory for drilling in addition to the continued development of existing fields. While foreign oil is still a contender for the American fuel market, Dewan says there is enough going on at home to keep his team busy for a long time.

“If you look at data in the global oil market, the world consumes approximately 94 million barrels a day,” he elaborates. “So while the market is currently going through a correction in 2015 due to fundamentals involving OPEC, global oil demand is going to be there and it grows each year.”

With so much going on domestically, Dewan and his colleagues are proud to serve producers on the homefront. “It’s an interesting and exciting field to work in,” he explains. “People have to have it and in terms of the people, there is no better industry. Oil goes into hundreds of products. It goes into plastic, rubber, tires… it’s involved in so many aspects of American life every day.”

With that in mind, the business plans continued growth for the years to come. Eagle Pipe is on a steady trajectory of expansion, building new partnerships with suppliers, strategic partners and clients throughout the U.S. Over the next five years, Dewan expects the business to more than double in size – allowing Eagle Pipe LLC to provide the same high level of service, quality and efficiency to an expanding customer base.

Published on: October 23, 2015

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